THE 3 KEYS TO A SAFE, RELIABLE FLEET.

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1 THE 3 KEYS TO A SAFE, RELIABLE FLEET. As the nation s leading experts in fleet maintenance and repair programs, we propose adopting these 3 keys to build a safer, more reliable, and ultimately more profitable fleet.

2 Re li a bil i ty noun the quality of being trustworthy or of performing consistently well. Recent articles and commentary in various industry publications all point to the same priorities for fleet managerssafety and profitability. This seems obvious enough, safe fleets are good for drivers, the public and the company, and profitability is the backbone for corporate growth. But in a fast-paced world full of competing priorities, good intentions can get pushed to the back burner, sacrificed for more pressing needs. When this happens it s not just the fleet that suffers. Inconsistent attention and effort in maintenance and repair can lead to extreme cost increases down the line. For example- a small issue like inconsistent attention to tire pressure can result in an under inflated tire running next to a properly inflated tire. This simple oversight leads to a situation that adversely affects both tires and if not corrected, can lead to exponential increases in wear, costs and risks to your drivers, and the public. As the nation s leading experts in fleet maintenance and repair programs, we propose adopting the following three keys to build a safer, more reliable, and ultimately more profitable fleet.

3 One Make a plan, and stick to it. The old adage Failing to plan is planning to fail was never truer than when taken in the context of maintaining and repairing your fleet. A thoughtful plan will ensure your fleet is maintained on a regular basis, your fleet is fully compliant with state and federal regulations and your CSA scores are high, all while costs are kept to a minimum. A good safety and reliability plan needs to include these three areas: 1. A comprehensive PM Program- good PM programs are regular, thorough and documented. Amerit s PM programs are designed to fit the fleets we service and accommodate usage/mileage profiles, asset classes, changing state and federal requirements, and the goals and objectives of the company. All PMs are documented in complete detail within our FMS, with a paper back-up is kept on file as well. These redundancies and thoroughness protect our clients from DOT fines and other risks if there is every an issue or accident. In addition to PMs being regular and documented, they must also be comprehensive. Amerit s PM Programs cover over 51 individual items, inspecting and recording the condition of every operating system on the asset, as well as identifying corrective actions/repairs. This bumper to bumper, top to bottom PM also encompasses a safety check before returning to the vehicle to service, ensuring that the asset is in optimal condition to perform its job.

4 One Make a plan, and stick to it. 2. A Staffing Plan- a good staffing plan takes into account routine downtimes, traditional peaks and valleys and specialized skill sets to accommodate all the assets in your fleet. Amerit s strength in creating custom staffing plans gives our clients the optimal work force and can be flexed up and down as required to handle increased workloads. If your staffing plan does not include hours during routine downtimes, does not support ongoing training or specialized skills, or create flex plans for peak periods or times of crisis, you may not be optimizing the performance, reliability and ultimately the profitability of the fleet. 3. A Plan for Corrective Maintenance- many fleets suffer from a high percentage of out-of-service vehicles. Either through major failures, long wait times for service or budgetary constraints, downed vehicles can quickly drain the life and profitability out of fleet operations. Making a work plan to bring those problem vehicles back on-line and compliant is challenging and can seem very costly. Amerit works in partnership with our new clients, collaboratively creating a plan that both keeps their current fleet operating in prime condition while surging additional effort to bring downed vehicles back on-line, or assessing lifecycle data to build a case to replace older, troublesome units.

5 Two Set standards, and live by them. It is well recognized across all industries that setting standards is an essential component to a well-run business, and fleet management is no exception. When focusing specifically on safety and reliability, fleet maintenance standards fall in two areas- Regulatory Standards and Quality Standards. Regulatory Standards are those that are required by law. Federal, state and local law enforcement are all responsible for enforcing DOT rules and regulations and if your fleet is found to be in violation, the result may be written warnings, stiff fines and penalties, suspension of a company s ability to operate and even result in jail time-depending on the severity of the violations. The good news is that setting a PM Currency standard of 95% or higher, ensures that your fleet is inspected, maintained and repaired so it is operating safely. Further, each state and county can have additional regulations for fleets operating within their areas, which adds a layer of complexity to managing your fleet s compliance. Ensuring that your PM Program is performed by a trained and certified supplier like Amerit, will give you confidence that your fleet meets all federal, state and local regulations.

6 Two Set standards and live by them. Quality Standards, unlike Regulatory Standards, reflect your expectation of excellence from your technicians and/or suppliers. These standards offer you powerful insights and controls over your maintenance spend and your suppliers performance. Quality standards that Amerit commonly tracks and self-reports to our clients include: Performance to SRTs (Standard Repair Times)- This is an indicator of the efficiency and performance of our technicians to either industry standards or client specific standards. Task Repeats- This is an indicator of the quality of our workmanship. Component Repeats- This measures the quality of parts or the workmanship of a corrective repair. Vehicle Repeats- This standard provides important insight into potential vehicle lifecycle issues. For example, aging vehicles will be in the shop more often as they require more frequent maintenance to perform well. Armed with this information, a fleet manager can make decisions about the right time to replace these units. A note about commitment. The single greatest step a fleet manager can take to ensuring compliance is to commit to making vehicles available for service when the PM is due. At Amerit, we do not agree that 95% is acceptable; we strive for 100% on all regulatory standards. Amerit creates work schedules that focus on routine downtimes, even at night or weekends, so the impact of services to your fleet s uptime is minimal. And when the program is further supported by strong leadership and enforcement from our clients, reaching 100% PM Currency is routinely achieved.

7 Three Measure and track quality. The saying goes Inspect what you expect. If you are not inspecting it how can you expect it? Here are two critical areas to consider to help you measure and track quality: 1. The Power of PWIs- A good Quality Assurance program relies on random, unannounced and regular post work inspections (PWIs). PWIs are the backbone of any QA program because they ensure your vendors or staff are delivering consistent quality vehicle maintenance. PWIs can also lead to cost reductions by identifying training needs and promoting quality workmanship and productivity from the technicians, thereby lowering come-backs. When performing PWIs, it is always a good idea to go through it with the technician present. While inspection items may seem obvious to most FMs, others may not have the overall experience to identify areas of failure. If certain items are found unsatisfactory in the inspection, your fleet will profit from taking the time to use this moment to train techs, or your vendors, and ensure your expectations and standards are clear and communicated.

8 Three Measure and track quality. 2. Can You See the Forest or Just The Trees?- There is no doubt that technology is quickly changing the way fleet managers view, measure and track their fleets. But sometimes these continuous data streams are simply too much, making it nearly impossible to crunch the numbers and tease out the important trends or underlying cause of problems. Now more than ever FMs need a trustworthy partner to help them distill data into actionable insights. Amerit s Account Management Team works with our clients to identify KPIs that are critical to their objectives and goals. Once established, Amerit then provides ondemand, real-time dashboards that provide an at-a-glance view of performance and budgetary measures. Common dashboards include Overall Maintenance Spend, Labor Hours, Expense by Repair Class, Cost Per Unit, PM Currency, PM Currency Trend, PMs Due, and Task Repeats. An essential tool for monitoring and tracking budgets, quality and trends, the dashboards also offer the FM the ability to dive deeper into the data, all the way down to individual RO in a specific location if they need to examine a certain item or repair undertaken. Amerit s AMs also proactively provide summary reports, spot areas of potential savings, trends and potential problems. By digesting and providing maintenance data in this form, Amerit s clients have the macro and micro views necessary to track trends and make informed decisions about their budget, their priorities and the safety and reliability of their fleet.

9 About us. Amerit operates on a simple, clear mission- to improve our clients fleet operations by providing outstanding service, quality and savings through customized maintenance programs, anywhere in the USA. The mission is driven by the understanding that the needs of fleet operations are unique, individualized and often diverse in their locations and requirements. Our solutions are custom-built to support the special needs of your individual fleet composition, your schedules, your locations and your priorities. Simply said, we believe in fleet maintenance done YOUR way. By uniting one or more our three service platforms with our nationwide management team, our maintenance and repair programs eliminate downtime, improve reliability and safety while also delivering bottom line savings. With over 120,000 vehicles and assets under contract and more than 2,000 highly skilled technicians and managers who provide services at over 700 locations nationwide, Amerit Fleet Solutions is the trusted partner for some of the most complex and sophisticated fleets in the US today. Call to speak to a representative about how Amerit can build maintenance and repair service program that builds a safe, reliable fleet and delivers peace of mind.

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